3 Feb 2012

Rising NZ dollar erodes wool prices further

7:49 am on 3 February 2012

Wool exporters are blaming the rising New Zealand dollar for further eroding most wool prices, at this week's auction.

New Zealand Wool Services International's general manager John Dawson says the dollar, measured in the weighted indicator for the main trading currencies, was 1.69% higher than it was during last week's sale.

It was particularly strong against the US dollar and the Euro.

Almost 19,000 bales were offered at Thursday's combined North and South Island sale, with a 73% clearance.

Prices continued the downward trend seen in the past month, apart from a small offering of mid micron and fine cross-bred wool, which gained 1% to 2%.